Index-linked bonds with "guarantees" continue to be paramount among banks' new product offerings. Ulster Bank has just announced a new series of two-year bonds, the Eurozone Series 4, which is linked to the EuroStoxx 50 index. Investors are guaranteed a gross return of 18 per cent if the index rises by 6 per cent or more over the two-year period. Any rises up to 6 per cent will earn treble the rate of return for investors. If the index should fall over the same period, investors will suffer only half of the decline.

The Eurozone Series 4 offer closes on November 24th but those investing before October 14th earn a 0.5 per cent bonus.